Ukraine plans to set up 5 joint enterprises with Western arms makers in 2024

MOSCOW. Jan 12 (Interfax) - Ukraine will focus in 2024 on developing its defense industry and intends to establish joint defense enterprises with Western companies and localize production, Ukrainian First Deputy Prime Minister and Economy Minister Yulia Sviridenko said.

"As for the defense industry, we have specific goals and objectives: that is the creation of five joint enterprises with Western arms manufacturers," Ukrainian media quoted Sviridenko as saying at a Center for Economic Strategy webinar on Thursday.

Ukraine also plans to develop industrial parks, earmarking funds in its budget for the first time to reimburse the cost of connecting both existing and future industrial parks to the network, she said.

The number of industrial parks in the register reached 70 in 2023, but of them only "ten actually operate," she said.

"Our objective is to focus this year on creating at least five functioning innovation parks," Sviridenko said.

A total of 40 billion hryvni earmarked in the 2024 budget to support the Ukrainian economy will enable it to grow up to 1% of GDP, whereas in 2023 the cumulative effect of the 5%-7%-9% affordable loans program, grant and mortgage programs provided an additional 1.5% of GDP, she said.